Agenda Item: 3
CITY OF SANTA CLARITA
AGENDA REPORT
PUBLIC HEARINGS
CITY MANAGER APPROVAL:
DATE: June 9, 2026
SUBJECT: INTRODUCTION AND FIRST READING OF AN ORDINANCE
DETERMINING THE ANNUAL STORMWATER POLLUTION
PREVENTION FEE FOR FISCAL YEAR 2026-27
DEPARTMENT: Neighborhood Services
PRESENTER: Darin Seegmiller
RECOMMENDED ACTION
City Council:
1. Conduct a public hearing on the Stormwater Pollution Prevention Fee for Fiscal Year 2026-27.
2. Introduce and pass to second reading an ordinance entitled: "AN ORDINANCE OF THE
CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, DETERMINING
THE ANNUAL STORMWATER POLLUTION PREVENTION FEE FOR FISCAL YEAR 2026-27.”
BACKGROUND
The Annual Stormwater Pollution Prevention Fee (Fee) collection began in 1995. The Fee supports the implementation of the requirements of the 1972 Federal Clean Water Act and the National Pollutant Discharge Elimination System Permit (NPDES Permit). Many state-mandated programs are funded with fees collected under the NPDES Permit, including cleaning of storm drain catch basins, street sweeping, industrial inspections, pollution prevention education, water quality monitoring and administration.
In 2009, property owners approved the Fee through a special ballot election process conducted per the requirements of the California State Constitution and Proposition 218 Article XIIID. A total of 13,459 valid ballots were received. Of those the ballots received, 10,294 (76 percent) voted "yes," and 3,165 (24 percent) voted "no." As a result, the City Council held a public hearing on October 27, 2009, and adopted Ordinance No. 09-14 (Ordinance), establishing the new methodology to be used to calculate the Fee.
Under Section 3 of the Ordinance, the City Council shall annually determine the rates of the Fee, subject to the maximum Fee authorized by the Ordinance. The City Council may decide to do any of the following: A) discontinue the Fee; B) reduce or maintain the actual Fee rate imposed below the maximum Fee rate authorized; or C) adjust the rate up to or below the maximum voter-authorized rate if it has been previously set below such rate. The City Council is not required to include an inflation increase annually, but may choose to accumulate the inflationary increase and enact the cumulative amount.
Pursuant to Section 15.50.070 of the Santa Clarita Municipal Code, the City of Santa Clarita (City) shall annually hold a public hearing or meeting, where an oral and written presentation may be made in connection with the Fee. The City Clerk has published notice of such annual public hearing as provided by law for the City Council meeting of June 9, 2026.
City staff recommends the Stormwater Fee for Fiscal Year (FY) 2026-27 be levied at $33.76 per Equivalent Residential Unit (ERU), which is equal to the maximum allowable under the guidelines of Section 3 of the Ordinance. The recommended levy represents an adjustment of $0.98 compared to the levied Fee of $32.78 in FY 2025-26. The Fee is calculated by adding an amount equal to the Consumer Price Index (CPI) for All Urban Consumers for the Los Angeles, Long Beach, and Anaheim areas for the preceding year ending December 2025, which was 3.01 percent.
This inflationary adjustment is needed to provide the City with proper funding to meet its permit obligations. The NPDES Permit requires the City to implement multiple programs and activities to reduce or eliminate water pollution. These programs include street sweeping, construction site inspections, industrial inspections, illicit discharge investigations, spill clean-up, storm drain maintenance, public information, land-development requirements, water testing, stormwater infiltration projects, and Citywide administration. In addition, in compliance with the Statewide Trash Policy, the City must install and maintain various trash-excluder devices to prevent trash from entering the Santa Clara River.
The FY 2026-27 Stormwater Pollution Prevention Fee Engineer’s Report and a preliminary list of the rates for all properties subject to the Fee are attached to this item as reading file material, along with a draft ordinance determining the rate. If the ordinance is adopted, Willdan Financial Services, Inc. is directed to prepare and file the final list of rates with the Los Angeles County Auditor-Controller to be placed on the FY 2026-27 tax rolls and collected with regular City and County taxes.
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
Upon adoption of the Annual Stormwater Pollution Prevention Fee for FY 2026-27, $33.76 per Equivalent Residential Unit will be placed on the Los Angeles County tax roll. For FY 2026-27, annual Stormwater Pollution Prevention Fee revenues are estimated to be approximately $5.1
million. The funds will be deposited into the Stormwater Utility Revenue Account 356-402301 and will be utilized for stormwater pollution prevention activities.
ATTACHMENTS
Public Hearing Notice
Ordinance
FY26-27 Stormwater Engineer's Report (available in the City Clerk's Reading File) FY26-27 Stormwater Fee Tax Roll (available in City Clerk's Reading File)